The South African public railways and ports company, Transnet is receiving a $1 billion loan from the African Development Bank (AfDB).

The 25-year loan is fully guaranteed by the South African government and will help fund the first phase of an $8.1 billion investment plan for Transnet to improve the country's rail and port infrastructure. Transnet Group CEO Michelle Phillip said in a bank statement that the loan would make “a significant contribution to Transnet's investment plan to stabilize and improve the rail network and contribute to the South African economy as a whole.” Transnet is one of several state-owned companies that have come under intense scrutiny for corruption and mismanagement